McKay-Hill, a Well-Known Law Firm in California, Adopts a Regular

question 72

Multiple Choice

McKay-Hill, a well-known law firm in California, adopts a regular practice of documenting its client-related data daily in an electronic database. The client-related data includes nature of legal advice sought, revenue generated by each client, and progress on each case, among others. What type of intellectual capital does such data represent to the firm?

• A) venture capital
• B) social capital
• C) structural capital
• D) human capital

---

Definitions:

Efficient Level

The optimal point of production or operation where resources are utilized in the most effective manner, without waste, to achieve a desired outcome or maximized benefit.

External Costs

Costs caused by a business activity that are not borne by the business itself, but by other people or the environment.

External Benefits

Benefits from an economic activity experienced by parties not directly involved in the transaction, often leading to positive spillovers in society.

Subsidizing Production

The act of providing financial support to companies or industries to reduce the cost of producing goods or services, often to encourage production or lower prices for consumers.